Assertion (A): Macroeconomics treats the economy's many goods as if they were one good, output.
Reason (R): Adding the values of all goods gives one aggregate, such as GDP, that can be studied as a whole.

Both A and R are true, and R is the correct explanation of A.Correct answerYour answerBoth A and R are true, but R is not the correct explanation of A.Correct answerYour answerA is true, but R is false.Correct answerYour answerA is false, but R is true.Correct answerYour answer

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CorrectNot quiteAnswer A

Correct answer: A

Aggregation is the method of macroeconomics: many goods are valued in money and added.
R explains why A is possible.

Concept: Aggregation
Typical timeTypical: 70 s
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The rule this testsWhat macroeconomics studies

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Assertion (A): Macroeconomics treats the economy's many goods as if they were one good, output.Reason (R): Adding the values of all goods gives one aggregate, such as GDP, that can be studied as a whole.

Explanation

Assertion (A): Macroeconomics treats the economy's many goods as if they were one good, output.
Reason (R): Adding the values of all goods gives one aggregate, such as GDP, that can be studied as a whole.